| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 957499 | Journal of Economic Theory | 2006 | 33 Pages |
Abstract
We show that there exists an equilibrium exhibiting a stochastic positive assorting of types, generalizing [Becker, J. Polit. Economy 81 (1973) 813-846]. In equilibrium, selection is adverse: being accepted reduces an agent's estimate of a potential partner's type, a phenomenon that we call the acceptance curse effect.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Hector Chade,